TDG vs. XYL: TransDigm vs. Xylem Stock Comparison

November 11, 2026

How do TransDigm (TDG) and Xylem (XYL) stack up? This page sets them side by side across company profile, performance and risk, profitability, growth, financial strength, dividends, and valuation, with selected fundamentals also measured against each stock's industry-group peers.

Company Profile

TransDigm (TDG) and Xylem (XYL) both fall under the Capital Goods industry group, but TDG is classified in Aerospace & Defense while XYL is classified in Machinery.

Company profile comparison for TransDigm (TDG) and Xylem (XYL)
Profile Item	TDG	XYL
Name	TransDigm Group Inc.	Xylem Inc.
Country/Region	United States	United States
GICS Sector	Industrials	Industrials
GICS Industry Group	Capital Goods	Capital Goods
GICS Industry	Aerospace & Defense	Machinery
GICS Sub-Industry	Aerospace & Defense	Industrial Machinery & Supplies & Components
Market Capitalization	66.17 billion USD	22.44 billion USD
Currency	USD	USD
Exchange	NYSE	NYSE
Listing Date	March 15, 2006	October 13, 2011
Security Type	Common Stock	Common Stock

Price Performance

Cumulative Growth

TDG

XYL

GSPC

TransDigm (TDG) vs. Xylem (XYL), with S&P 500 (GSPC) for reference: Growth of a $10,000 investment over the past five years. Adjusted for dividends and splits.

Trailing Returns

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Trailing total returns for TransDigm (TDG) and Xylem (XYL). Returns over one year are annualized.

Calendar-Year Returns

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Calendar-year total returns for TransDigm (TDG) and Xylem (XYL). Each bar is that year's total return, measured year-end to year-end.

Performance Metrics

Price performance metrics for TransDigm (TDG) and Xylem (XYL)
Metric	TDG	XYL
Total Return (1Y)	-3.42%	-33.10%
Total Return (3Y, Annualized)	14.26%	2.29%
Total Return (5Y, Annualized)	16.86%	-4.47%

Risk Profile

Drawdown History

TDG

XYL

GSPC

TransDigm (TDG) vs. Xylem (XYL), with S&P 500 (GSPC) for reference: Drawdown from the running peak over the past five years. Each line shows the decline from its prior peak; 0% marks a new high.

Return Distribution

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Distribution of monthly total returns for TransDigm (TDG) and Xylem (XYL). Each bar is the share of months whose return fell in that 5% bucket.

Risk Metrics

Risk profile metrics for TransDigm (TDG) and Xylem (XYL)
Metric	TDG	XYL
Volatility (1Y, Annualized)	28.03%	30.74%
Beta (5Y)	0.94	0.96
Max Drawdown (5Y)	-29.05%	-44.89%
Avg. Volume (3M)	369.72K	2.60M

Risk-Adjusted Performance

Risk-Return Positioning

TDG and XYL are plotted by 1-year volatility (risk) and 1-year return. The dashed Capital Allocation Line runs from the risk-free rate through the shared industry median.

Risk-Adjusted Metrics

Risk-adjusted metrics for TransDigm (TDG) and Xylem (XYL)
Metric	TDG	XYL
Sharpe Ratio (1Y)	-0.27	-1.22
Sortino Ratio (1Y)	-0.38	-1.48

Profitability

ROE (TTM)

Capital efficiency shows on one side only: Xylem (XYL) earns 9.76% on shareholders’ equity, ranked against its industry; TransDigm (TDG) has no ROE this period.

TDG

Capital Goods industry group

Max: 40.55%
Q3: 19.29%
Median: 12.12%
Q1: 4.08%
Min: -17.12%
TDG: --

XYL

Capital Goods industry group

9.76%

Max: 40.55%
Q3: 19.29%
Median: 12.12%
XYL: 9.76%
Q1: 4.08%
Min: -17.12%

TransDigm (TDG) vs. Xylem (XYL): TDG does not report ROE, so it has no value marker; XYL is benchmarked against the Capital Goods industry group.

Net Margin (TTM)

TransDigm (TDG) at 21.28% retains a top-quartile share of revenue as profit, ahead of Xylem (XYL) at 11.94%, which keeps about the industry-typical share.

TDG

Capital Goods industry group

21.28%

Max: 27.47%
TDG: 21.28%
Q3: 12.10%
Median: 6.30%
Q1: 1.40%
Min: -12.89%

XYL

Capital Goods industry group

11.94%

Max: 27.47%
Q3: 12.10%
XYL: 11.94%
Median: 6.30%
Q1: 1.40%
Min: -12.89%

TransDigm (TDG) vs. Xylem (XYL): A comparison of their net margin against the Capital Goods industry group benchmark.

Operating Margin (TTM)

TransDigm (TDG) at 46.01% turns sales into operating profit above its industry’s benchmark range, while Xylem (XYL) at 15.95% operates around its industry’s norm.

TDG

Capital Goods industry group

46.01%

TDG: 46.01%
Max: 36.60%
Q3: 18.33%
Median: 11.12%
Q1: 5.14%
Min: -12.63%

XYL

Capital Goods industry group

15.95%

Max: 36.60%
Q3: 18.33%
XYL: 15.95%
Median: 11.12%
Q1: 5.14%
Min: -12.63%

TransDigm (TDG) vs. Xylem (XYL): A comparison of their operating margin against the Capital Goods industry group benchmark.

Profitability Metrics

Profitability metrics for TransDigm (TDG) and Xylem (XYL)
Metric	TDG	XYL
ROE (TTM)	--	9.76%
ROA (TTM)	11.82%	5.07%
Net Margin (TTM)	21.28%	11.94%
Operating Margin (TTM)	46.01%	15.95%
Gross Margin (TTM)	59.82%	39.32%

Growth

Revenue Growth

Both TransDigm (TDG) at 11.22% and Xylem (XYL) at 5.52% land near their industries' usual revenue growth ranges, so top-line momentum looks broadly in line with peers on both sides.

TransDigm (TDG) vs. Xylem (XYL): A comparison of their Revenue Growth across different time periods.

EPS Growth

Both TransDigm (TDG) at 25.21% and Xylem (XYL) at 7.40% land near their industries' usual EPS growth ranges, so bottom-line momentum looks broadly in line with peers on both sides.

TransDigm (TDG) vs. Xylem (XYL): A comparison of their EPS Growth across different time periods.

Growth Metrics

Growth metrics for TransDigm (TDG) and Xylem (XYL)
Metric	TDG	XYL
Revenue Growth (YoY)	11.22%	5.52%
Revenue Growth (3Y CAGR)	17.61%	17.84%
EPS Growth (YoY)	25.21%	7.40%
EPS Growth (3Y CAGR)	33.78%	25.99%

Financial Strength

Current Ratio (MRQ)

TransDigm (TDG) at 3.02 carries current ratio above its industry’s typical mid-range, while Xylem (XYL) at 1.39 runs in the tighter-liquidity quartile — different working-capital profiles, both worth examining.

TDG

Capital Goods industry group

3.02

Max: 5.22
TDG: 3.02
Q3: 2.95
Median: 2.08
Q1: 1.43
Min: 0.36

XYL

Capital Goods industry group

1.39

Max: 5.22
Q3: 2.95
Median: 2.08
Q1: 1.43
XYL: 1.39
Min: 0.36

TransDigm (TDG) vs. Xylem (XYL): A comparison of their current ratio against the Capital Goods industry group benchmark.

Debt / Equity (MRQ)

Only one side’s leverage can be read here: Xylem (XYL) carries debt-to-equity ratio of 0.29 against its industry range, while TransDigm (TDG) reports no figure this period.

TDG

Capital Goods industry group

Max: 2.33
Q3: 1.12
Median: 0.60
Q1: 0.29
Min: 0.00
TDG: --

XYL

Capital Goods industry group

0.29

Max: 2.33
Q3: 1.12
Median: 0.60
XYL: 0.29
Q1: 0.29
Min: 0.00

TransDigm (TDG) vs. Xylem (XYL): TDG does not report debt-to-equity ratio, so it has no value marker; XYL is benchmarked against the Capital Goods industry group.

Financial Strength Metrics

Financial strength metrics for TransDigm (TDG) and Xylem (XYL)
Metric	TDG	XYL
Current Ratio (MRQ)	3.02	1.39
Debt / Equity (MRQ)	--	0.29
Net Debt / EBITDA	6.03	1.18

Dividends

Dividend Yield (TTM)

TransDigm (TDG) pays no dividend (yield 0.00%) — it may be reinvesting, using buybacks, or simply not returning cash through dividends. Meanwhile Xylem (XYL) reports a yield of 1.69%, ranking against industry peers normally.

TDG

Capital Goods industry group

0.00%

Max: 2.66%
Q3: 1.14%
Median: 0.24%
TDG: 0.00%
Q1: 0.00%
Min: 0.00%

XYL

Capital Goods industry group

1.69%

Max: 2.66%
XYL: 1.69%
Q3: 1.14%
Median: 0.24%
Q1: 0.00%
Min: 0.00%

TransDigm (TDG) vs. Xylem (XYL): A comparison of their dividend yield against the Capital Goods industry group benchmark.

Dividend Payout Ratio (TTM)

TransDigm (TDG) pays no dividend (payout 0.00%) — it may be reinvesting, using buybacks, or simply not returning cash through dividends. Meanwhile Xylem (XYL) reports a payout of 37.47%, ranking against industry peers normally.

TDG

Capital Goods industry group

0.00%

Max: 67.39%
Q3: 28.02%
Median: 6.86%
TDG: 0.00%
Q1: 0.00%
Min: 0.00%

XYL

Capital Goods industry group

37.47%

Max: 67.39%
XYL: 37.47%
Q3: 28.02%
Median: 6.86%
Q1: 0.00%
Min: 0.00%

TransDigm (TDG) vs. Xylem (XYL): A comparison of their payout ratio against the Capital Goods industry group benchmark.

Dividend Metrics

Dividend metrics for TransDigm (TDG) and Xylem (XYL)
Metric	TDG	XYL
Dividend Yield (TTM)	0.00%	1.69%
Dividend Payout Ratio (TTM)	0.00%	37.47%

Valuation

P/E Ratio (TTM)

Xylem (XYL) at 21.69 is near its industry’s usual P/E ratio, while TransDigm (TDG) at 36.31 sits in the richer quartile — TDG needs stronger growth or earnings quality to justify the premium.

TDG

Capital Goods industry group

36.31

Max: 59.38
TDG: 36.31
Q3: 35.92
Median: 25.41
Q1: 19.47
Min: 3.03

XYL

Capital Goods industry group

21.69

Max: 59.38
Q3: 35.92
Median: 25.41
XYL: 21.69
Q1: 19.47
Min: 3.03

TransDigm (TDG) vs. Xylem (XYL): A comparison of their P/E ratio against the Capital Goods industry group benchmark.

P/S Ratio (TTM)

Xylem (XYL) at 2.48 is priced about in line with its industry on P/S ratio, while TransDigm (TDG) at 6.61 sits in the pricier quartile — TDG costs more per dollar of sales.

TDG

Capital Goods industry group

6.61

Max: 7.54
TDG: 6.61
Q3: 3.76
Median: 2.15
Q1: 1.03
Min: 0.03

XYL

Capital Goods industry group

2.48

Max: 7.54
Q3: 3.76
XYL: 2.48
Median: 2.15
Q1: 1.03
Min: 0.03

TransDigm (TDG) vs. Xylem (XYL): A comparison of their P/S ratio against the Capital Goods industry group benchmark.

P/B Ratio (MRQ)

TransDigm (TDG) reports a negative P/B ratio of -6.74, meaning negative book equity — the multiple itself is not meaningful for valuation. Meanwhile Xylem (XYL) reports 2.19, ranking against industry peers normally.

TDG

Capital Goods industry group

-6.74

Max: 9.66
Q3: 5.00
Median: 3.12
Q1: 1.81
Min: -1.08
TDG: -6.74

XYL

Capital Goods industry group

2.19

Max: 9.66
Q3: 5.00
Median: 3.12
XYL: 2.19
Q1: 1.81
Min: -1.08

TransDigm (TDG) vs. Xylem (XYL): A comparison of their P/B ratio against the Capital Goods industry group benchmark.

Valuation Metrics

Valuation metrics for TransDigm (TDG) and Xylem (XYL)
Metric	TDG	XYL
P/E Ratio (TTM)	36.31	21.69
P/S Ratio (TTM)	6.61	2.48
P/B Ratio (MRQ)	-6.74	2.19
Free Cash Flow Yield (TTM)	2.20%	5.39%